Investor Presentation
November 2017
NASDAQ: IPWR
Ideal Power Development Lab, Austin, Texas
Forward Looking Statements
All statements in this presentation that are not based on historical fact are "forward looking statements." While
management has based any forward looking statements included in this presentation on its current expectations,
the information on which such expectations were based may change.
These forward looking statements rely on a number of assumptions concerning future events and are subject
to a number of risks, uncertainties and other factors, many of which are outside of our control, that could cause
actual results to materially differ from such statements.
Such risks, uncertainties, and other factors include, but are not limited to, whether the patents for our
technology provide adequate protection and whether we can be successful in maintaining, enforcing and
defending our patents, whether demand for our products, which we believe are disruptive, will develop and
whether we can compete successfully with other manufacturers and suppliers of energy conversion products,
both now and in the future, as new products are developed and marketed.
Furthermore, we operate in a highly competitive and rapidly changing environment where new and
unanticipated risks may arise. Accordingly, investors should not place any reliance on forward looking statements
as a prediction of actual results. We disclaim any intention to, and undertake no obligation to, update or revise
forward looking statements.
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Ideal Power at Glance
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Investment Highlights
Disruptive Technology Platform for Power Conversion
Experienced Leadership
Executing on Commercialization Strategy
Early Entry Into Growing Solar + Storage and Microgrid Markets
We Make Power Converters
AC
• Power converters change the “flavor” of electricity
High voltage
High frequency
DC
Low voltage
Low frequency
• We sell into three main markets
Solar + Storage Storage-Only
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Microgrids
Conventional Conversion
• Continuous one directional power flow
• Passive components add size, cost and
weight & reduce efficiency
• Doubles the hardware needed for bi-directionality
Reinventing Power Conversion
Power Packet Switching Architecture (PPSA™)
• Power flows in either direction
• Eliminates most passive components
• Software-enabled to convert and route power
The “Ideal” Solution for the New Energy Economy
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Just as a computer router directs information to-and-from and between devices,
Ideal Power‟s Products direct energy packets from any port to any port.
Data Router
The Ideal Converter
• Multi-port
• Connect multiple devices with one box
• Bi-directional
• Charge battery or use battery for power
• Built-in Isolation
• Required for any system that includes batteries
• Compact and Light Weight
• Less metal means lower total system cost
• Software-Enabled and Upgradeable
• Microgrid-capable; operates in 50Hz/60Hz environments
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Our Product Portfolio
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30kW Stabiliti™ Dual Port Stabiliti™ Multiport SunDial™ SunDial™ Plus
Model 30C 30C3 30PV 30PV+S
Weight in lbs 135 135 150 150
Power Flows AC DC AC DC DC PV AC PV DC AC
Microgrid-Capable Yes Yes No No
Lower Battery Costs Are Driving Adoption in Our Target Markets
• Major Investments:
• Tesla: $5B
• Daimler Benz: $540M
• LG Chem: $340M
• Samsung: $335M
• Planned Investments:
• Volkswagen: €10B
• Samsung: $2.5B
• Johnson Controls: $780M
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Actual Projected (based on historical cost
reduction of 16% per year)
The “Duck Curve” Illustrates the Imbalance Between Power
Generation By Renewables and Actual Power Demand
The Duck Curve:
Represents the difference between power demand
and power supplied to the grid from renewable
sources
The Problem:
Traditional utility load-demand balance is skewed
from 3:00PM-8:00PM as solar production diminishes
and demand increases
Solution?
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“It‟s time to decapitate the duck. The Duck Curve is used to speak negatively about the solar industry, a way of saying there is
„too much solar‟ on the grid. The real problem is the antiquated sources and methodology used for baseload, and the outmoded
idea that ramping baseload up and down is inefficient, expensive and polluting. We should have control over when and where
the power is transmitted and distributed on the grid,” Alex Au, CTO NEXTracker – August 2017
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Solar + Storage Applications
C&I + Utility
SunDial
TM
Solves Core Problem With Distributed Solar Market
Solution: Ideal Power’s SunDial™ integrates solar with batteries;
enabling efficient load management
Lead Customers:
Problem: Solar alone cannot solve demand management, backup, and
critical load support problems due to its intermittent nature; storage is a
necessity to the continued growth of solar
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A Flex Company
Results: Signed first licensing agreement with Flextronics +
MSA with NEXTracker in Q3 2017 for C&I + Utility markets
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Energy Storage & Microgrid Applications
Commercial & Industrial
Stabiliti™ Series Dual Port Power Conversion System
Solution: Ideal Power’s stand-alone storage product allows customers to
charge battery arrays in off-peak times and discharge during peak hours
Customers:
Problem: Peak demand and time-of-use charges make power expensive
for customers (commercial and industrial) who need to use power when it
is in high demand
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Demand Charges Can Run Between 30-70% Of a Customer‟s Electricity Bill1
1. Source: US Forest Service, “Saving Money by Understanding Demand Charges on Your Electricity Bill”
Microgrids Overview
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• A microgrid is a small-scale energy system consisting of
distributed energy sources that can operate independently or in
conjunction with the area's main electrical grid
• Self-sufficient, a microgrid serves a discrete geographic
footprint, such as a college campus, hospital complex, business
center, or neighborhood
• Distributed energy sources include: solar panels, wind turbines,
combined heat & power, generators and many newer microgrids
contain energy storage, typically from batteries
• A microgrid is: local, independent and intelligent
• A microgrid is NOT: a simple distributed energy system – i.e.
solar panel or generator
Microgrid Facts1
• 1,842 microgrids worldwide as of Q2-2017
• Global microgrid capacity expected to reach 7.6
GW by 2024, up from 1.4 GW in 2015
• North America and Asia as the centers of growth
1. Source: Navigant Research – June 20, 2017 Article Here.
Stabiliti Series Multi-Port Power Conversion System - Microgrids
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Solution: Ideal Power’s multi-port Stabiliti™ power conversion systems
enables efficient and cost-effective microgrids due to its bi-
directional, software-enabled design
Problem: The cost of building out conventional infrastructure to
improve grid reliability is excessive and oftentimes subject to the
same stresses as the line it serves as a backup to, reducing
effectiveness
Customers:
What’s Supporting Microgrid Growth ?
Results:
• Lower electricity costs – Rural locations = 3X-5X vs. U.S. mainland
• Critical load support & backup power solution – reduces reliance on costly diesel
• Project economics sufficient without incentives due to lower battery costs
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B-TRAN Technology
Our B-TRAN
TM
Innovation Gives Us The Potential For Licensing
Growth In The Future
B-TRAN™ is a bi-directional, bi-polar silicon switch
under development
• Novel solution inspired by need for bi-directional power flow
• Replaces 2 standard power IGBT’s and 2 diodes with 1 device
• Simplifies switching with fewer parts, lower switching and
Z conduction losses and increased efficiency
29 Patents Issued
• All Intellectual Property on the device and manufacturing methods
Z controlled by Ideal Power
“B-TRAN™ is the most significant advance in power
semiconductors in 20 years”
- Dr. Richard Blanchard, inventor of the trench MOSFET
Intend to License into Multi-Billion Dollar
Annual Global Power Semiconductor Market
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B-TRAN™ will address a of portion of the large power semiconductor
market that is currently addressed by module semiconductors,
particularly the intelligent power module segment
B-TRAN
TM
Path to Commercialization
Phase I
3rd Party
Simulations
Patent Filings
Complete
Phase II
Develop
Manufacturing
Process
First Silicon Devices
& Diagnostic Testing
Complete
Phase III
In Progress
Engage
Licensing
Partners
2017 - 2018
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Parallel Strategy to
Accelerate
Commercialization
A: Simplified B-TRAN
TM
B: Full featured B-TRAN
TM
for manufacturing
Our Capitalization Table
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Capital Structure at September 30, 2017
• Market Capitalization: $36.2 M
• Basic + Fully Diluted Shares: 14.0 and 24.6 M shares
• Cash Balance: $11.7 M
• Debt Balance: $0.0 M
Ideal Power at Glance
Investment Highlights
Disruptive, Patented Power Conversion Technology
Reduction in Battery Costs Driving
Significant Growth in Target Markets
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Executing on
Commercialization Strategy
Asset Light Business Model
Significant IP Estate
Ideal Power at Glance
Recent Developments
Signed master purchase agreement with NEXTracker for C&I and utility sites throughout North
America in Q3 2017
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Established first licensing agreement for Sundial™ with a Fortune Global 500 company,
Flextronics (NASDAQ: FLEX)
Introduced new strategic initiative in the solar + storage and microgrid markets in Q2 2017
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Investor Relations
MZ Group
Chris Tyson
Managing Director
(949) 491-8235
IPWR@mzgroup.us
Ideal Power Corporate
4120 Freidrich Lane, Ste. 100
Austin, Texas 78744
(512) 264-1542
www.idealpower.com
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APPENDIX
R. Daniel Brdar
CEO & President
Management Team
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Uwe Uhmeyer
VP, Engineering
Our independent directors are Dr. Lon Bell, Chairman of the Board, David
Eisenhaure and Mark Baum
Tim Burns, CPA
CFO